Some people feel... 
“So what if I’m young. I’ve 
never had an accident or 
even gotten a ticket 
Why should I pay the 
highest insurance rates?” 
That’s why we want you to know... 
We understand how you feel. You've got 
a good driving record, and that’s great. And 
you don’t expect to have an accident. No one 
does. But the fact is that good drivers as well 
as bad have accidents. That’s why insurance 
protection exists. 
No one can predict which individual is 
going to have an accident. But we can predict 
the accident potential for groups of drivers 
who share similar characteristics. This is 
the only way possible to make auto insur- 
ance rates. 
Insurance companies set their rates to re- 
flect how often they have to pay claims of 
insured groups and how much those claims 
cost. This is done for each state and for each 
rating territory within the state. 
Year after year, without exception, statistics 
show a consistent pattern: youn ger drivers 
have more accidents than older drivers. Young 
males have more accidents than young 
females. And young unmarried males have 
more accidents than young married men. 
The fairest way to distribute accident costs 
is for each driver to pay an insurance rate that 
reflects as closely as possible the exposure to 
loss of his or her group. Of course, differences 
within the groups also are taken into account. 
Among them are the age and type of car 
and how the car is used (whether for busi- 
ness, pleasure or commuting). 
But take heart. If you have a good driving 
record, you will pay less than others in your 
group who have been involved in serious 
accidents or who have been guilty of major 
traffic law violations. And, as you get older, 
the accident potential of your group will 
decline, and so will your rates. 
We re working to keep 
insurance affordable. 
This message presented by the American Insurance Association, 85 John Street. NY. NY 10038 
